Iskandar Malaysia Attracts Investment Buying Of Homes
Of late, Iskandar Malaysia has been in the spotlight, due to its unprecedented interest from foreign market investors. This growing interest is purportedly mainly from Singaporeans, looking to invest in affordable dwellings. Property experts are cautioning investors, to be mindful of the many factors that will affect the investment.
Industry watches, question the reason behind launching these properties across the causeway, rather than in various cities within Malaysia.
Although there has been significant increase in the value of properties purchased, the fact that the increase, is only on paper, adds to the uncertainly of expected high returns.
The leasing market is as yet, untested, though the returns promised by the developers are attractive. Industry watchers are advocating the need to explore other markets in South East Asia. Places like Bangkok, Indonesia and Vietnam have equally good investment opportunities.
If the property bought, is as an investment, then potential risks such as market thinning, political uncertainly and currency fluctuation, needs to be given due consideration.
Some analysts question the ratio of property to jobs in the area. The ability to provide the necessary support from the commercial sector where jobs are created is important, as without high job availability in the area, there would be little need for accommodation.
Property investment, though commonly considered, as the ideal form of investment, does not come without its own set of risks. There is a need to be well informed before investing, especially if the investment is in a foreign land.